A local supply and office centre for Adlershof
Interview with Rolf Mensing, Managing Director CLS Management GmbH
Back in 2006, many still felt that Adlershof was "way in the back of beyond". Why did CLS opt for Adlershof at that time?
Rolf Mensing: From early on, CLS believed in a continuous positive development of the location as a whole. At that time, however, saying "let's go for Berlin-Adlershof" was still a very courageous decision made by those responsible in London. Back then, CLS didn't yet have a team in Germany, and the place to be really was Berlin- Mitte. Moreover, at that time motorway A 113 terminated at the recently opened exit Adlershof so the journey by car took 45 minutes or more.
What was your impression of the location at the time, and what has since changed?
I felt it was an intrinsically wellfunctioning solitary location. In fact, this impression has been clearly reinforced during the past eight years. Businesses from all over Germany have been increasingly interested in investing in Adlershof, not least because of the motorway connection, the renovation of the S-Bahn station and the proximity to the new airport. All this has clearly enhanced Adlershof's image – in fact, internationally too.
Adlershofer Tor used to be regarded as a problem child of sorts. What prompted you to acquire it?
At the time of the acquisition, the long-term lease with anchor tenant Kaufland, and the adjustable lettable rental space were decisive factors. Adlershofer Tor was and is an excellently designed local supply centre with attractive office spaces on the upper floors. We recognised the investment potential, believed in the micro location, had faith in the location's long-term growth and found a strong anchor tenant as well as accompanying assortments of other retailers. Moreover, the offices' floor plans also allowed for the leasing of smaller units. All these calculations have paid off to this day.
Who are your current tenants?
We take care to ensure a balanced and heterogenous mix of tenants. In the retail sector we have Kaufland, consumer electronics and textile retailers, a pharmacy as well as gastronomy. Similarly, our office tenants are a mix of service, energy, and medical providers, training and engineering companies as well as a large architect's office.
How do you gain tenants?
Interestingly, we managed to gain tenants who initially didn't have much business with Berlin. We essentially achieved this through our Germany-wide network. Although Adlershofer Tor may not be a "landmark property" attracting tenants by its mere prestige, it is definitely an attractive and well-functioning product within an established market at a good rent. Add to this the fact that we are looking after our tenants rather than being merely a passive financial investor. We have a clearly defined set of competencies allowing us to work out practicable solutions together with our individual tenants. As a real-estate agent, if you are good at customer care, you stand a fair chance of retaining your tenants i.e., your customers, in the long run. This really is the secret of success with Adlershofer Tor. You will only lose occupiers when you are unable to offer expansion space.
By Rico Bigelmann